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Monday, October 31, 2005

Georgia Lemon Law Information

Lemon Law Complaint Process

Have you experienced continuing problems with a new motor vehicle that you purchased or leased in Georgia? If so, you might be interested to know that the Motor Vehicle Warranty Rights Act, or Lemon Law as it is commonly called, outlines a self-help process for you.

If the manufacturer fails to repair a recurring problem after a reasonable number of attempts and you meet certain eligibility requirements, you may apply for a state arbitration hearing. An arbitration panel may hear your complaint to decide whether you are entitled to a replacement vehicle or a refund.

This program is a free service to the consumer, funded by the modest $3.00 Warranty Rights Act fee you pay when you buy or lease a new vehicle. Although you may elect to hire an attorney to assist you, this is not required.

The Governor's Office of Consumer Affairs (OCA) administers the Warranty Rights Act (O.C.G.A. Sections 10-1-780 through 10-1-794), which is designed to help get defective motor vehicles repaired. You must meet certain requirements and take certain steps in order to be eligible to make a claim against the vehicle's manufacturer, which may result in a state-operated arbitration hearing.

Note: Not all of the steps apply to each consumer, and it is possible for the dispute to be resolved during any one of the intermediate steps leading up to a hearing.

What role does OCA play?

Our role is twofold:

To provide all the information you need to help correct the problem, and

To facilitate a state arbitration hearing if necessary.

We also routinely collect information from consumers on the progress of claims, to verify that the Lemon Law process is working.

Consumer Eligibility - Who is covered by Georgia’s Lemon Law?

The Lemon Law protects consumers. It covers:

A person who entered into an agreement or contract for the purchase, lease or transfer of a new motor vehicle primarily for personal, family or household use; or

A sole proprietorship, partnership or corporation that owns or leases no more than three new motor vehicles for commercial use and has ten or fewer employees and a net income, after taxes, of $100,000 per year or less for federal income tax purposes.

Vehicle Eligibility - What vehicles are covered by the Lemon Law?

Only new motor vehicles are covered by Georgia’s Lemon Law. This means new, self-propelled vehicles that are primarily designed to transport people or property over public highways and that were purchased, leased or registered in Georgia. The title must still be in the name of the person who originally purchased or leased the vehicle and cannot have been previously issued to anyone other than the selling dealer.

What vehicles are not covered by the Lemon Law?

Vehicles purchased or leased as used

Vehicles whose title and other transfer documents indicate they are used

Vehicles that have been previously titled to any person other than the selling dealer

Motorcycles

Trucks with a gross vehicle weight rating of 10,000 pounds or more

All-terrain vehicles (ATVs)

Boats

Vehicles that are not self-propelled or otherwise do not meet the law’s definition of a motor vehicle